NCUA Invalidates Conversion Vote OnSecond Texas CU Giant

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ALEXANDRIA, Va. - (05/26/05) -- NCUA has informed OmniAmerican CUthat the credit union's ongoing ballot to convert to mutual savingsbank, just like that of Community CU, has been invalidated due toviolation of regulations regarding member disclosures. In a lettersent Tuesday to the $1.3 billion credit union, reviewed by TheCredit Union Journal, NCUA's Region Four Director Jane Walters said"NCUA has determined that OACU has failed to provide members withrequired disclosure materials in compliance with Section 708.4 (e)of NCUA's regulations." That means that the Fort Worth-based creditunion, just like Plano-based Community CU, must redo its memberdisclosures and begin the mail balloting process all over, or elsehave the vote invalidated altogether, NCUA said.

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